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Last Year, Flash Company Sold 15,000 Units of Its Only

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Last year, Flash Company sold 15,000 units of its only product. If sales decreased by 17% in the current year, how will total variable cost and total fixed cost be affected?

 Total Variable Cost  Total Fixed Cost  A)Remains constant  Remains constant  B)Increases  Decreases  C)Decreases  Remains constant  D)Remains constant  Decreases  E)Remains constant  Increases \begin{array} { l l } \text { Total Variable Cost } & { \text { Total Fixed Cost } } \\\text { A)Remains constant } & \text { Remains constant } \\\text { B)Increases } & \text { Decreases } \\\text { C)Decreases } & \text { Remains constant } \\\text { D)Remains constant } & \text { Decreases } \\\text { E)Remains constant } & \text { Increases }\end{array}

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Definitions:

Second Law

Typically refers to the Second Law of Thermodynamics, which states that the entropy of an isolated system always increases.

Concentration Gradient

The gradual difference in the concentration of solutes in a solution between two regions, often leading to diffusion.

Hypotonic

Referring to a solution that has a lower concentration of solutes relative to another solution, thereby causing water to flow into the cell by osmosis.

Hypertonic

A solution that has a higher solute concentration compared to another solution, leading to osmosis out of the cell.

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